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Eskom board given 48 hours to explain Trillian payments

Minister Lynne Brown has asked the Eskom board to clarify its business with Gupta-linked company Trillian

FILE: Public Enterprises Minister Lynne Brown. Picture: Gaye Davis/EWN.

JOHANNESBURG - Public Enterprises Minister Lynne Brown has given the Eskom board 48 hours to report back to her with an explanation around payments to Gupta-linked company Trillian.

In June, Eskom claimed that New York-based firm Oliver Wyman found that payments of R1.6 billion to Trillian and consultancy firm McKinsey were above board.

The Business Day is reporting that the power utility has now admitted that it lied because the firm had in fact red flagged these payments and recommended a legal review of the contracting process.

Almost two months ago, Brown asked the Eskom board to clarify its business with Gupta-linked company Trillian.

On Tuesday, she's instructed the board to report back to her within 48 hours.

The board is currently holding a meeting to discuss what action should be taken if any against those implicated in lying about a report into payments Eskom made to Trillian and McKinsey.

Earlier this year, Eskom initially claimed it never paid a cent to Trillian, but then back tracked on this statement.

At the centre of these payments and others, such as a R600 million prepayment to help the Guptas buy the optimum coal mine, is suspended CFO Anoj Singh who was placed on special leave last month.

The Organisation Undoing Tax Abuse (Outa) has now opened a case of corruption against Singh.

WATCH: Eskom explains why it paid Trillian R500M

(Edited by Winnie Theletsane)